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Kacific

High speed broadband internet to the Pacific Islands

Startups
Series A
Infrastructure
Satellite
Broadband

Raised 744K
EOI 1.9M

$3M

VentureCrowd Allocation

$12M

Funding Round size

$9M

External Commitments

$58M

Pre-Money Valuation

External
Validation

Investors

USD

Currency

 

Update 21 February: Kacific today announced that it has ordered its Kacific-1 satellite from The Boeing Company. This is a significant milestone and achievement for the company that removes a number of conditions precedent for the company's funding and adds certainty to the business plan. Further video and information can be viewed here.

The Pitch (Excerpt)



  1. Highlights
  2. Background
  3. Business Overview
  4. Risk Profile
  5. Further Information

1. Highlights


This is an investment opportunity to co-invest alongside high profile lead investors in an Australian trust that will subscribe for USD denominated shares issued by Kacific Broadband Satellites Pte. Ltd. a company incorporated in Singapore (Kacific).

This opportunity is available to wholesale investors in Australia registered with VentureCrowd.

Key features:

  • Investment opportunity - To invest in the early stage of an infrastructure company whose business is to develop and operate a broadband offering in the Asia Pacific region
  • High profile lead investors - A group of Sydney based investors, including a former CEO of Macquarie Group (ASX:MQG), and the co-founder of an ASX listed technology company and a former foundation director of Intelsat Ltd
  • Purpose - Final top up equity for a c. US$150M project, already fully funded. Funds generally for core expenditure to purchase and operate communication satellites to cover Asia-Pacific
  • Unique risk profile - Upside of a start-up, with a high cashflow visibility of an infrastructure investment fully insured against technical risks
  • Follow-on Series A - In the form of Ordinary Shares
  • Exit strategy - From year 4 with attractive IRR potential


About Kacific:

  • Strong board and management team of veterans in the telecom and satellite industries
  • US$434M of take-or-pay sales contracts already secured, representing approximately 70% of future capacity
  • Value proposition - New satellite to bring game changing broadband offering: affordable,high speed and easy access, sold wholesale to local telecom operators in 22 countries
  • In the final contracting phase of satellite and launch vehicle providers, from top tier industry partners
  • Company already offering broadband services on existing satellites in two countries, expanding into three more countries in January 2017
  • Impact investing and social benefits - Enable broadband internet access to underserved communities of the Pacific Islands and South East Asia


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2. Background


This is an exclusive opportunity for VentureCrowd registered wholesale investors to invest in the Series A2 capital of a start-up infrastructure company, established to develop a wholesale broadband internet offering for an underserved market of over 140 million people in the Pacific Islands, New Zealand, Eastern Indonesia, the Philippines and Papua New Guinea.

Kacific has already raised US$37M in equity and secured debt and other equivalent funding for the balance of its c. US$150M project. Equity investors include a group of high profile Sydney based investors including a former CEO of Macquarie Group (ASX:MQG), and the co-founder of an ASX listed technology company and a former foundation director of Intelsat Ltd.

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3. Business Overview


Kacific is on track to launch a low cost, high-speed broadband satellite, using the latest generation Ka-band technology that has been successfully deployed in North America, Europe, the Middle East and Australia. Kacific’s new generation satellite will be the first of its kind in the Asia Pacific region, delivering low cost, easily accessed and high speed Internet direct to the premise across all communities in its target markets. Kacific’s satellite has been engineered to deliver an end-user cost that is significantly lower than existing satellite solutions and competitive with (and often cheaper than) comparable fixed and terrestrial wireless broadband solutions.

Together with a top tier satellite operator, Kacific is currently in final contracting stage with established aerospace partners.

Kacific has been mainly contracted by telecom customers to connect education and health services in rural and remote locations.

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4. Risk Profile


  • More than 70% of future capacity already sold (US$434M take-or-pay contracts secured)
  • Satellite and launch vehicle provider contracting in final stage
  • Investor equity insured against all risks of technical failure

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5. Further Information 


Data room 

Further information about this investment opportunity is available in the data room.


Other relevant information


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